Sale of Stock obtained through a Spin-Off

Forum|Forum|1 year ago
March 7, 2025
1 reply
0 views

In 2024 I sold shares of VTRS that were obtained through a spin off (0.124 shares of VTRS issued for each share of PFE). TurboTax asks "How did you receive this investment?" The pull down menu offers no options that align with a spin-off .... The "Learn More" link implies that an "Other Method ..." can be used but there is no pull down option for Other Method to answer "How did you receive this investment?" Please help.

Stocks

fanfare

Employee

Most likely the Investor page on PFE website will tell you what your basis is in those shares.

@ggct2010

ggct2010 Author

Thanks - I have the cost basis determined as a fractional portion of the parent company PFE dividends for both the covered and non covered shares - the issue I have is with the Turbo Tax application not providing a pull down option of ‘Spin Off’ or ‘Other Method’ for how the stock was obtained - the closest choice is ‘Gift’ ? But I fear Turbo Tax will react to a GIFT of stock and spin me off (pun intended) into an area of cost basis/gift tax determination that is irrelevant

DianeW777

The choice can be 'Other' or 'Stock (non-employee)'. The fact is they are basically fractional shares to equal out the 'Spin Off''. As long as you have the required data of cost, date acquired, date sold (so to speak), and sales price you are safe to move forward with your 1099-B. Do not select 'Gift' although I appreciate the humor.

@ggct2010

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"